Fact: Airbnb offers its employees a $2,000 stipend annually for travel.

Netflix offers a year of parental leave to both salaried and hourly employees.

Health insurance is really important for small businesses; it helps them attract and retain talent, keep employees motivated and healthy, and enhance bottom line (with premiums being tax deductible).

For businesses with more than 50 employees, it is compulsory to offer health insurance to the employees.

However, health insurance is expensive and can also be a bit complicated. Which is why small businesses need to be careful.

Here are 3 tips that can help small businesses acquire health insurance for their employees:

Knowing the obligations

As mentioned above, it is compulsory for businesses with more than 50 employees to provide health insurance, while less than that are exempt. However, companies do not need to provide health insurance to part-time employees as only full-time employees are eligible.

According to the IRS, a full-time employee is one who works for at least 30 hours per week. Understand these obligations to ensure you’re abiding by the law.

Benefits of providing Health Insurance

If employees do not get health insurance from their company, they may choose to get individual health insurance from insurance providers, which can prove to be quite costly. There are chances that they will switch to a company that does provide health insurance. Here’s Forbes backing this up.

Another benefit of providing health insurance is that the premiums paid on insurance are tax deductible, which allows business to reduce their tax expenses.

Consulting with Experts

Before a business can opt for a plan, they must consult with an employee benefit professional. This is because there are several options to choose, and opting for the wrong plan could prove to be a costly mistake.

For example, small businesses with one or two individuals shouldn’t go for small group healthcare, as it is costlier. However, in some cases it may prove to be beneficial, and it varies state to state. Only a professional would be able to guide a business what is the best choice.

We are one of the leading employee benefits consultants in New Jersey. We help businesses get the best policy, at the best price with the best coverage.

Get in touch to set up an appointment.